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Peter had $50,000 in student loans that were discharged when he became permanently disabled. How should he treat the discharge on his tax return? A.Include

Peter had $50,000 in student loans that were discharged when he became permanently disabled. How should he treat the discharge on his tax return?

A.Include $50,000 in gross income

B.Exclude $50,000 from his income.

C.He can claim any amount he includes in income as a miscellaneous itemized deduction.

D.He should report the discharge as an ordinary gain.

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